Both stocks run through our valuation models. Here is how Home Depot (HD) and McDonald’s (MCD) compare, as of Aug 13, 2026.
As of Aug 13, 2026, Fair Value Calculator sees Home Depot as the less overvalued of the two: Home Depot trades at $343 versus a fair value of $237 (-31%), while McDonald’s trades at $276 versus $149 (-46%).
Home Depot
HD · USD · Consumer Discretionary
-31%
upside to fair value
overvalued
Price$343
Fair Value$237
Quality57/100
McDonald’s
MCD · USD · Consumer Discretionary
-46%
upside to fair value
overvalued
Price$276
Fair Value$149
Quality68/100
Head-to-head numbers
Green value = the better side for that row (for valuation multiples: lower = cheaper).
Home DepotMcDonald’s
Valuation
24.4×P/E (TTM)22.9×
2.06×P/S (TTM)7.11×
26.72×P/B—
15.5×EV/EBITDA15.8×
1.94×PEG2.56×
2.1%Dividend yield2.6%
$6.93Dividend per share$7.26
Profitability
8%Net margin32%
12%Operating margin44%
128%Return on equity—
13%Return on assets14%
Growth
5%Revenue growth (YoY)9%
1.5%Avg. growth/yr (3Y)5.1%
4.5%Avg. growth/yr (5Y)7.0%
Balance & size
3.62×Debt / equity—
$342BMarket cap$195B
healthyGrowth qualityhealthy
McDonald’s leads: 3 to 8 metric wins.
Dash = not meaningfully computable, for example with negative equity.
Quality in detail
The quality score, broken down into the same factor families as on the stock page, 0 to 100 per family.
Home Depotof which business quality 55 · market factors 46McDonald’sof which business quality 65 · market factors 48
ProfitabilityMargins and returns on capital today
83
64
Quality GrowthAre margins and returns improving?
30
46
CashflowEarnings quality: real cash, not paper profit
InvestmentDisciplined investing over empire-building
48
57
Low VolatilityCalm price path (market factor)
71
97
MomentumPrice trend over the last 3–12 months (market factor)
37
32
52W MomentumDistance to the 52-week high (market factor)
33
20
Net IssuanceBuybacks instead of dilution
84
91
What the models say
The median fair value (base case) per model family, each in the currency of its trading venue. Green = above the current price, red = below.
Home Depot
DCF Models$247
Earnings-Based$129
Dividend Discount$174
Multiples$227
Asset-Based$8.61
Growth DCF$193
Economic Profit$128
Growth Earnings$285
26 of 26 models see the stock below the current price.
McDonald’s
DCF Models$117
Earnings-Based$102
Dividend Discount$98.39
Multiples$225
Growth DCF$58.72
Economic Profit$113
Growth Earnings$209
21 of 21 models see the stock below the current price.
Scenario ranges
From our cautious bear case to the optimistic bull case. The white tick is the current price: left of fair value means room to run.
Home Depot
Bear $129Fair Value $237Bull $312
$343 = current price (white tick)
McDonald’s
Bear $98.03Fair Value $149Bull $233
$276 = current price (white tick)
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Ranked within their sector
Where each stock sits within its sector peer group. Band = middle 50% of peers, tick = median, dot = this stock.
Home Depot · Consumer Discretionary
Quality score57 · above median
Fair value upside-31% · below median
McDonald’s · Consumer Discretionary
Quality score68 · Top 25%
Fair value upside-46% · below median
Bottom line
As of Aug 13, 2026, Fair Value Calculator sees Home Depot as the less overvalued of the two: Home Depot trades at $343 versus a fair value of $237 (-31%), while McDonald’s trades at $276 versus $149 (-46%).
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A model-based valuation snapshot from 21 models. Values change with price and fundamentals; the date shown above applies.
